Photo by Ehud Neuhaus on Unsplash

Operational Challenges and Sales Strategy

Following a sales shortfall, Sweetgreen faced the need to downgrade its guidance for full-year same-store sales, indicating operational and profitability issues. The brand's profitability concerns were exacerbated by operational losses, reaching $26.4 million with a negative margin of 14.2%. This decline in profitability was attributed to the sales drop and underperformance of many of the chain's restaurants.